Research by eMarketer indicates that the chief reason for Internet users not consuming more video content online is because there are not enough full-length movies and television programs online.

A March-April 2008 survey by Frank N. Magid Associates found that the vast majority of online users continue to consume as much television, rental DVDs, and movies at theaters as they ever did. Only 11 percent of online video viewers aged 12 to 64 had reduced their television consumption because of their Internet watching… only 10 percent went to movie theaters less as a result of online video… and only 7 percent said their DVD viewing had declined.

In 2007, about 50 percent of online video viewers were found to have regularly watched short news clips, funny videos, movie trailers and music videos on the Internet, while only 25 percent watched full-length TV shows, and only 14% saw full-length movies. At the same time, a study by Harris Interactive found that over 50 percent of U.S. online video viewers WOULD watch more full-length TV shows if they were available online, and just under 50 percent would watch more full-length movies online.

I can only see the shift from television and DVD viewing (in particular) to online video consumption gaining pace. With Amazon introducing a streaming service to deliver 40,000 television programs and movies to its customers… Internet access becoming ever faster.. and more people purchasing media centers to view Internet content on their television sets… this is a trend that will only continue.

Source: eMarketer, “Are Short Videos Best for the Web?”, eMarketer, July 31, 2008

Wow - a chunky 20 percent of prime time television is now being watched online.

What’s more, according to a May 2008 study by Integrated Media Measurement Inc. (IMMI), online consumers of prime time television are 55 percent female and 45 percent male, and tend to be financially better off than most. Households earning $80,000 per year or more are 56 percent more likely to watch a network show on the Internet. The largest single segment of online television viewers comprise white, affluent, well educated, working women aged 25-44.

Also interesting is the finding that more people are watching entire episodes of prime time TV online, rather than just bits they may have missed on television. Increasingly viewers seem to be switching between either media, with a substantial 41 percent of those surveyed first watching a show on TV, then viewing another episode online.

Seems like more people simply want to watch their favorite TV shows at a time that suits them. Rather than being home and in front of the box at a certain time, they are valuing the convenience offered by the web, where they can download and view such shows when it suits them.

It’s no surprise that more affluent people are tending to watch more prime time television on the web either. They are more likely to have broadband Internet access to facilitate quick video downloading or streaming, and to have media centers which allow them to watch Internet content on their televisions…

Sources: Nathania Johnson, “20% of Primetime Television Now Watched Online”, Search Engine Watch, July 29, 2008

The New York Times has launched the beta version of its own social network application, TimesPeople.

TimesPeople currently operates as an add-on for the Firefox web browser and allows users to share articles, videos, slideshows, blog posts, comments on articles, and ratings and reviews of movies, restaurants and hotels. Future versions are not expected to require the Firefox plug-in.

This is one smart move on the part of The New York Times. The move will surely encourage readers to stay on the New York Times website longer and promote sharing of The New York Times content (rather than other Internet content). Other traditional media companies would do well to watch closely and possibly emulate the move.

Sources: Vasanth Sridharan , “NYT’s TimesPeople Social Network: Another Good Idea From The Times”, Silicon Alley Insider, June 18, 2008, TimesPeople